This is where the people of a settlement meet to discuss the issues of the day. The King's servants, be they farmer, craftsman or peasant, will share their fears and hopes with the community in this building. It is also where the details of commerce are dealt with - the distribution of resources, and the spending of moneys. All shipments of gold and wood are routed through the Town Hall. The allocation of funds to build roads and walls are also addressed here. Additionally, it serves as a center where peasants can receive training in harvesting and mining, as to better serve the kingdom. Being the center of the settlement's economy, there can only be one Town Hall. If it is destroyed, however, another can be built to take its place.
Town Halls are the center of your city; harvested lumber and mined gold is sent here to be collected and used. Other than that, this building trains Peasants and builds Roads and Walls.
As the Manual states, you can only have one Town Hall, but it can be rebuilt if destroyed. However, the computer player can have one Town Hall per settlement, as can be seen in the later missions of the Single Player Campaign. Stormwind Keep also functions as a Town Hall, though it cannot be rebuilt.
Upgrade Shield Strength
Increases the armor of all your units and buildings by 2